R-677 - 09/24/1996 - FINANCE - Resolutions Supporting Documents w�77 I
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Q�cOUNSY•,•
VILLAGE OF OAK BROOK
1200 OAK BROOK ROAD
OAK BROOK, ILLINOIS 60521 -2255
PHONE: 708 990-3000
FAX: 708 990.0876
Date: September 18, 1996
To: Village President and Board of Trustees
From: Darrell Langlois
Recommendation: That the Village President and Board of Trustees 1)approve
Sections B and C of the attached Corporate Authorization
Resolution and 2) approve the indented portion of the attached
Facsimile Resolution which revise the procedures used for signing
the Village's checks.
The management letter issued by our auditors as part of the 1995 audit noted that some
improvement in internal control over cash disbursements could be gained by revising the
Village's check signing procedures. At the present time two signatures are required for all
disbursements and almost all checks are signed via a facsimile signature plate bearing the
name of the Village President and Village Treasurer. However, since this signature plate
is always kept in my possession, we in fact only have a one signer system.
The attached Corporate Authorization Resolution revises our current procedure by
requiring only one signature on checks below $10,000 and two on all checks over
$10,000. We will eliminate the signature plate that has two signatures and replace it with
plates that only have one signature, with each person keeping their own signature plate in
their possession. By doing this we will be able to transact most Village business, such as
payroll, with only one signature (which in reality is our current practice) but will enhance
internal control by requiring two separate signatures on disbursements over$10,000.
Since we will be revising the signature plates used to sign checks, the attached Facsimile
Resolution must also be updated and approved. This document simply authorizes the
bank to rely on facsimile signatures of the Village President, the Village Manager, or the
Village Treasurer for the signing of checks as opposed to actually manually signing each
and every check.
Please feel free to contact me if you should have any comments or questions.
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4 BESOLUTIONEj-FRC3-SA-R-677 A CQRPORATE RES. 96-FI-FAC#-S
AUTHORIZATION RESOLUTION REVISING SIGNATURE R-677
PROCEDURE.: CORPORATE
AUTHORIZATION
The management letter issued by the Village's auditors as part of the RESOLUTION
(Revising
1995 Audit noted that some improvement in internal control over cash Signature
disbursements could be gained by revising the Village's check signing Procedures)
procedures. At the present time,two signatures are required for all
disbursements and almost all checks are signed via a facsimile
signature plate bearing the name of the Village President and Village
Treasurer. However, since this signature plate is always kept in the
possession of the Treasurer,the Village has only a one-signer system.
The Corporate Authorization Resolution revises the Village's current
procedure by requiring only one signature on checks below$10,000
and two on all checks over$10,000. The Village will eliminate the
signature plate that has two signatures and replace it with plates that
only have one signature with each person keeping their own signature
plate in their possession. By doing this, the Village will be able to
transact most Village business,such as payroll, with only one
signature but will enhance internal control by requiring twos arate
signatures on disbursements over$10,000.
Motion by Trustee Bartecki,seconded by Trustee McInerney,to pass
Resolution 96-FI-FACS-SA-R-677,"Corporate Authorization
Resolution", revising signature procedures,as presented and waive
the full reading thereof. ROLL CALL VOTE:
Ayes: 5 - Trustees Bartecki,Kenny, McInerney, Payovich and
Savino.
Nays: 0 - None.
Absent: I - Trustee Shumate. Motion carried.
5. RESOLUTION 96-FI-FAGS-SA-R-678 A RESOLUTION RES.96-FI-FAC-SA-
AUTHO I IN FACSIMILE IGNA ES~ : R-678
FACSIMILE
Since the Village will be revising the signature plates used to sign RESOLUTION
checks,the Facsimile Resolution must also be updated and approved.
This document simply authorizes the bank to rely on facsimile
signatures of the Village President, the Village Manager, or the
Village Treasurer for the signing of checks as opposed to actually
manually signing each check.
Motion by Trustee Bartecki, seconded by Trustee McInerney, to pass
Resolution 96-FI-FACS-SA-R-677, "Facsimile Resolution"as
presented and waive the full reading thereof. ROLL CALL VOTE:
VILLAGE OF OAK BROOK Minutes 6 of 14 September 24, 1996